Malaysian Journal of Civil Engineering 21(2) : 219-234 (2009)
IMPLEMENTING INDUSTRIALISED BUILDING SYSTEM (IBS) IN
MALAYSIA: ACCEPTANCE AND AWARENESS LEVEL, PROBLEMS AND
STRATEGIES
Mohamad Ibrahim Mohamad1, Mardhiah Zawawi2, M.A.Nekooie2
1
Director, 2Postgraduate Student, Construction & Technology Management Centre (CTMC),
Faculty of Civil Engineering, Universiti Teknologi Malaysia, 81310 Skudai, Johor Bahru,
Malaysia
Abstract: Construction Industry Development Board (CIDB) has been actively promoting the
use of Industrialised Building System (IBS) in Malaysian Construction Industry since 1998.
Unfortunately, previous study was shown the use of IBS for building project in Malaysia only
stands at 10% out of 50% as forecasted by CIDB in 2006. This research project explored the
acceptance level of the current IBS implementation and existing problems faced by construction
industry practitioners. It also identified suggestions to improve IBS implementation in Malaysia.
The methods adopted for this study included interview and questionnaire survey. The study
determined the level of IBS acceptance and awareness among Malaysian construction industry
and analyzed root and frequent problems faced by the practitioners while implementing IBS.
Based on the information gained, strategies to improve IBS implementation was suggested.
Keywords: Industrialised Building System (IBS), Construction Industry, Precast Concrete and
Prefabrication
1.0
Introduction
Considered old technology in developed countries, Industrialised Building
System (IBS) is still categorised as relatively new technology developing
countries such as those in the Asian region. Although the implementation of IBS
in Malaysia has started since 1960’s, it became popular only in 1998 when
Cabinet of Ministers endorsed IBS Strategic Plan as the blueprint for the total
industrialisation of the construction sector. Since then, the Construction Industry
Development Board (CIDB) has been actively promoting the use of IBS in
Malaysian Construction Industry.The first step taken by CIDB was formulating
IBS Roadmap which stated several strategies and aggressive steps to promote the
use of IBS in Malaysia. The main objectives of introducing IBS at that time were
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to gradually reduce the dependency on foreign labours and to increase
productivity and improving construction quality. The main features of IBS
construction process are as follows:
I.
II.
The division and specialisation of the human workforce.
The use of tools, machinery, and other equipment, usually automated, in
the production of standard, interchangeable parts and products.
To implement IBS, there are several activities involved which can be categorised
as upstream activities and downstream activities. Upstream activities can be
listed as design, planning, and production works. On the other hand,
procurement system, supply chain, transportation system, legislation and
regulation can be classified as downstream activities.
1.1
Background Information
Over the past decade, the level of IBS usage in Malaysia is still very low even
though its implementation has started since early 1960’s. Construction industry
practitioners seem reluctant to use IBS as their construction method. Their
reluctance to use the system is suprising its benefits have been pointed out by
researchers. Warszawski (1999) highlighted that by adopting IBS, some saving
in manual labour on-site can be achieved, increasing construction speed and
providing higher construction quality. Thanoon et al. (2003) also underlined cost
saving, faster construction time and improvement of overall construction quality
as the result of IBS implementation. These proved that, the use of IBS is
advantageous as it fulfils the basic goal of construction; time, resources and
quality.
For instance, in 2002, Badir studied the building system technologies in
Malaysia and examined problems and constraints associated with this
technology. The study concluded that the problems related to IBS technology
were the higher initial capital investment and the needs for expert labour to deal
with heavily mechanised approach in IBS. Therefore, extra cost was needed to
train existing semi skilled labour to be highly skilled labour.
In 2007, Chung has investigated current awareness of the usage of IBS in
Malaysia and his study has analyzed ways to improve the implementation of IBS
in terms of the current policy and guideline available to implement the usage of
IBS in the local construction industry. The study focused on the usage of 50% of
the IBS elements in terms of cost. The Strength, Weakness, Opportunity and
Threat (SWOT) Matrix has been used in analyzing the current scenario in the
local construction industry. Strategic implementation plan has been suggested in
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221
this study; the government needs to provide a governing body that is only in
charge of the legislations, training, financing, controlling, research and
development so that an effective strategy can be formulated and applied to all the
parties involved.
In 2008 Noriwani studied the critical success factor in adopting IBS for
Malaysian Construction Industry. The study focused on success factors and
barriers for IBS adoption in Malaysian building construction industry. The
information and data were gathered through questionnaire and then analysed
using average index method. Based on the study, the most critical success factors
in adopting IBS were flexibility, client expectancy, and market security.
Meanwhile, in technical aspect and design process was the critical factor in
successful IBS adoption.
Based on the findings of these studies, IBS appears as the most suitable
system to overcome several problems in construction industry especially overuse
of foreign labour and low productivity rate. Unfortunately, the level of IBS usage
in local construction industry is considerably low about 15% in 2003 (IBS
Survey, 2003) and 10% which is less than one third of total completed
construction project using at least one IBS product, in 2006 (CIDB, 2007).
Moreover, Jamilus (2009) the CEO of top Malaysian management &
consultant company has stressed that construction industry are still far from
achieving the ideal objective as articulated in recent IBS Roadmap even though
almost all activities identified in the roadmap have been implemented. Based on
the Roadmap mid-term review, one of the major barriers is negative perception
of consumers and practitioners. Even contractors, whom experienced in IBS
construction project before, were reluctant to use IBS in their next project.
Currently, the only available standard and regulation on IBS implementation
is in The Uniform Building By Law (UBBL). It has introduced several clauses to
encourage the use of IBS.
In addition, through conventional method, local authorities needed to inspect
the project upon completion. This rule is not suitable since IBS projects require
immediate inspection right after the IBS components delivered to the site.
In 2001, the Government set the Malaysian Standard 1064 in order to
standardise the IBS components in terms of dimensions. However the Malaysian
Standard 1064 still can be improved. However the standards must not be too
rigid as to allow for technological improvements in construction method and
system.
If Malaysian construction practitioner acceptances on IBS implementation
isn’t in line with the researcher studies and government hope, probably there is a
gap between the IBS and construction industry which resulted on various
problems when IBS is being implemented. Three main objectives were
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222
formulated for this research: (1) to determine the level of IBS acceptance and
awareness in construction industry in Malaysia; (2) evaluate the problems of IBS
implementation in construction industry; and (3) develop a strategy to propose
IBS in Malaysian Construction Industry based on survey results.
2.0
Methodologies
The data collection process was carried out by using unstructured interviews and
distributing an industry wide questionnaire survey. The unstructured interviews
with 5 experienced personnel and professionals regarding the implementation of
IBS technology were conducted to obtain preliminary ideas for designing the
questionnaire. Furthermore the result rationalised the importance of this study in
Malaysia.
The questionnaires, distributed directly to engineering and
construction firms, gathered data from respondents including engineers,
contractors, manufacturers and consultants. The questionnaire consisted of four
main parts:
A. Information of Respondents;
B. Acceptance & Awareness of IBS;
C. Problems Related to IBS;
D. Strategy to Improve IBS Acceptance.
Part A covered information on respondent, such as total years of experience in
industry, their company (manufacturer, contractor, consultant, client) and
company contract value. Part B asked about their acceptance and awareness on
current IBS implementation and part C and D covered on problems which they
would face with them in the IBS implementation and strategies to mitigate or
solving problems respectively.
The questionnaires were distributed to the respondents in Johor, Melaka,
Negeri Sembilan, and Selangor via email, by hand and fax. The modes of
sending the questionnaires were determined by first contacting the respondents
through phone prior distributing them. Out of 50 questionnaires distributed, 27
were returned.
The data gained were analysed using frequency distribution analysis to find
more frequent elements which have enough or less awareness and acceptance.
Also more frequent problems and suggested strategies were attained by
frequency distribution analysis. Nonparametric statistical analysis defined
significant level of differences for relationship between nominal data about
respondent and ordinals from parts B, C and D in questionnaire. Mann-Whiteny
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223
U and Kruskal-Wallis H were used for show level of differences between
respondents in different group using part A. Although in construction
management 90% confidence could be satisfied and 0.1 level of difference is
acceptable, this study considered significant level of differences around 0.05 for
more precise result. The differences in respondents' opinion were grouped based
on period of Personal Experience, job sector, dealing with IBS before and
company identifications for nonparametric test.
Figure 1 shows the distribution of 27 respondents, stacked by company types,
grouped by level of company’s experiences on IBS project, and further
categorised based on company contract value, which indicates company sizes or
company’s financial capabilities.
On the other hand, Figure 2 shows the distribution of respondents, categorised
based on respondent’s personal experience, grouped by level of company’s
experiences on IBS project, but further stacked by company types.
Figure 1: Breakdown of respondents based on
company financial capabilities
3.0
Figure 2: Breakdown of respondents based on
respondent’s personal experience
Level of Acceptance and Awareness
The study on acceptance and awareness were divided into Awareness,
Understanding and Readiness. The frequency analysis results showed that,
almost three quarter of the respondents aware that IBS has been implemented in
Malaysian construction industry and government has given encouragement to
implement IBS. Therefore, aggressive promotion on IBS through media and
Malaysian International IBS Exhibition (MIIE) in February 2009 gave much
contribution on this element. Moreover, obligation from government stated that
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224
all government projects are compulsory to use IBS at least 70% of completed
project, really indicate government encouragement to implement IBS in
Malaysian construction industry. However, the study found that despite the
respondents’ awareness on IBS existence but they are quite unaware on the
availability of various IBS references and short courses provided by CIDB to
support IBS implementation.
In general the result of the study indicated that, the level of understanding on
IBS was not good at all; especially on management and technical tasks involved
while implementing IBS. Less than majority of respondents understood technical
task (e.g. designing, erecting, maintaining, handling the components, and etc)
involved in IBS implementation. Only 59% respondents understood management
task (e.g. procurement method, planning, utilising the component, etc) while
implementing IBS. This was due to low awareness among practitioners on the
availability of short courses and references which could help and guide them to
implement IBS effectively.
Table 1: Frequencies on level of IBS acceptance and awareness
1. Awareness
a.
b.
Aware that IBS has been implemented in MCI
Aware on government encouragement to implement
IBS
c. Aware on various types of IBS component
d. Aware on various IBS references in market
e. Aware on various short courses to support IBS
implementation
2. Understanding
a. Basic concept of IBS principles
b. Procedure on how to implement IBS
c. Management task in implementing IBS
d. Technical task in implementing IBS
2. Readiness
a. Mentally ready
b. Technically ready
c. Financially capable
d. If the client required
Percentage of positive
responses
70%
74%
67%
52%
56%
67%
63%
59%
48%
70%
67%
70%
74%
Looking at the responding to implement IBS, almost 70% of the respondents
were ready to implement IBS even though there was some lack of readiness in
management and technical understanding which resulted on least readiness in
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225
technical part. Almost three quarter respondents were ready to implement IBS
required by the client which indicated that the practitioners were willing to try if
the clients say so. Moreover, actually 70% of them were financially ready,
provided the client measures the project cost according to IBS price. It was
impossible for them to win the tender using IBS price if at the same time other
companies were biding to use conventional price for ordinary construction
method. All these variables show that, IBS project was client driven and the
practitioners were willing to learn to remain competitive in the industry. Table 1
summarised the frequency analysis among the respondents.
Since the study was faced with nominal and ordinal data and variable violated
from normality assumption it would be more wisely to use nonparametric test to
attain any significant differences in each sector made by Personal Experience,
IBS experience, Company type and Company size .
The study has adopted Mann-Whiteny U for analysing personal and IBS
experiences. In personal experience, population answer divided to two parts:
High Experience (more than 8 years) and Low Experience (less than 8 years).
H0: Null hypothesis that the respondents’ ideas about awareness, understanding
and readiness for IBS implementation questions came from the same population
and there were not any significant differences derived from Experience of
respondent.
H1: Alternative hypothesis whether observations in one sample tended to be
different than observations in the other depended on their personal Experience.
Despite all questions in this area computed with personal Experience by
Mann-Whiteny U, but found that our computation on just readiness
corresponded to a significance level of p= 0.042 which was less than 0.05 and
absolute value of z=2.035 which was more than 1.96. Since this result
conformed normal social science cut off, we could reject the null hypothesis. It
would indicate that samples were significantly different on the Personal
experience as an ordinal variable. Thus it was subjected to respondent with high
personal experience was generally more ready for IBS implementation especially
mentally and technically indicated in table 2.
According to Experience on IBS, the responds on Awareness, Readiness and
Understanding clustered by less than 4 projects for low Experience on IBS and
more than 4 projects for High Experience on IBS.
Our hypotheses were same as above on personal Experience. Then the result
introduced significance level of p= 0.023 on awareness on government
encouragement and p= 0.062 on awareness on various type of IBS component
and p= 0.076 on awareness on procedure to implement in IBS and p= 0.025 on
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226
awareness on management task in IBS implementation. Also p= 0.083 and p=
0.057 on mentally and financially readiness on IBS implementation which were
less than or around 0.05 and all lower than 0.1 and absolute value of z for all of
them was more than or around 1.96 which was illustrated in table 3. The results
conducted to reject the null hypothesis and obtained that higher experienced
persons on IBS had more intensive idea on mentioned sectors and questions
which are also detailed in table 2.
Table 2: Acceptance level based on different groups
Group
Personal Experiences
Company sizes
Experiences on IBS
Acceptance

Respondent with high personal experience is
generally more ready for IBS implementation especially
mentally and technically.

Smaller company nowadays are more aware and
interested in IBS training (short courses)

A higher experience on IBS project has more
awareness on government encouragement to use IBS and
various type of IBS component available in market.

A higher experience on IBS project contributes to
more understanding on procedure and management task
while implementing IBS.

A higher experience on IBS project has more
readiness in terms of mental, technical, and financial.
Table 3:P and z values for Mann-Whiteny U test
awareness on government encouragement
awareness on various type of IBS component
awareness on procedure to implement in IBS
awareness on management task in IBS implementation
mentally readiness on IBS implementation
financially readiness on IBS implementation
p
0.023
0.062
0.076
0.025
0.083
0.057
z
2.266
1.866
1.776
2.235
1.736
1.904
The results showed that, engineers with high personal Experience had better
idea on IBS and they made a better sense by significantly ready for IBS
implementation. Somehow it concluded that Malaysian experienced engineers
were ready and strongly agreed to apply IBS in Malaysian construction industry.
Moreover, it also showed that there was an effective encouragement by
Malaysian construction society such as CIDB to involve in more IBS projects
because of strong awareness of government encouragement among companies
who involved in more IBS projects. In addition, it also proved that the
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knowledge of IBS construction in Malaysia is reachable, easy to learn, and also
convenient to be used by simply face with IBS project in more than 3 or 4
projects.
Due to size of companies, the responds on Awareness, Readiness and
Understanding clustered by less than RM 20milion as a contract value for small
size and more than RM 50milion for Big size Company. By estimating p=0.045
and z=2.007 for attractiveness in training courses it would reject null hypothesis
and declared small company were more interested in this case. It indicated that
IBS knowledge was seen as one of the important criteria for them to expand and
get the higher recognition in Malaysian construction sector in short term which
was shown by opportunity for improvement in figure2.
Figure : upportunity for improvment
4.0
Problems with IBS Implementation
Overall, the problems being asked in questionnaire was about standardisation,
monopoly, technical problems, and financial capabilities. The level of agreement
fell between 63% and 33% and level of disagreement fell between 37% and
11%. Even though, it could be seen generally that level of agreement was higher
than disagreement, it just could be categorised as moderate level of agreement.
The frequencies of responds were illustrated in table 4.
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228
Table 4: Root problems in implementing IBS
Problems
1.
Manufacturers supply component with higher price due to high
transportation cost
2. Higher capital cost
3. Lack of manufacturer distributed all over the country
4. Monopoly due to limited manufacturer
5. Monopoly by establish contractor due to lack of know how to
implement IBS project
6. Lack of manufacturing capacity
7. Lack of joint standardization
8. Lack of beam standardization
9. Lack of column standardization
10. Problems on jointing work due to lack of standardization
11. Lack of proper utilization increased the cost
Percentage
of agreed
63%
63%
56%
56%
56%
56%
56%
56%
52%
52%
52%
All questions in this area computed with personal Experience by MannWhiteny U, carried out significant difference driving from their idea about cost
rising for converting design. It corresponded to a significance level of p= 0.049
which was less than 0.05 and absolute value of z=1.966 which was more than
1.96. Since this result confirmed rejection of the null hypothesis. It would
demonstrate that high personal experienced respondents were more agreed to
Problem of cost rising for converting design which was also depicted in figure 3.
Figure 3: Problem of cost rising for converting design
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229
Also in clustering by IBS experience, less than 4 projects defined as low
Experience on IBS and more than 4 projects as High Experience on IBS. Both
group of respondent (High and low experiences on IBS) agreed that
manufacturer supplied components with higher price due to least order and
higher transportation cost as shown in figure 4.
Figure 4: most of the respondent agree with high price of IBS manufacturing
As data were collected from more than two types of company thus is
subjected to chalenge another approprate nonparametric test. Kruskal-wallis test
is used to define any significant diffrences exist between our responds
samples.This test ables to compare three or more independent groups of sampled
data. Grouping respondents by company type carried out with contractors,
manufacturers and others contain consultants and clients. The hypotheses for the
comparison of independent groups are:
Ho: The samples come from identical population;
Ha: The samples come from different population.
Notice that the hypothesis makes no assumptions about the distribution of the
populations. In Kruskal-wallis test, if H exceeds the critical value for H at some
significance level (0.05 - 0.1) it means that there is evidence to reject the null
hypothesis in favour of the alternative hypothesis. The sampling distribution of
H is a very close approximation of the chi-square distribution. The Chi-square
with k-1 (the number of groups-1) degrees of freedom can be used to
approximate the significance level for the test. For 3 Company types,
and measured Chi-square should be compared with 5.991 for 0.05 Error and not
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230
less than 4.605 for approximate 0.1 of error and uncertainity. Rejection of null
hypothesis perceived from results, is illustrated in table 5 for some
implementation problems. The significant diffrences drived from company type
for respondents indicated that there were two strong problems which are not yet
understood by manufacturers. One drove from standardisation’s needs,
mentioned by consultant. It referred to lacking of unique and known standard
components to be used in design stages. The other one was stated by contractor
which indicated the weaknesses of IBS process (e.g. installing, labelling) and
availability of the component either main component (e.g. beam, column) or
miscellaneous component (e.g. door, window) while implementing IBS project.
Also, both contractor and consultant agreed that there was a lack of
manufacturing capacity to supply all necessary components in any time when
needed.
Table 5: Kruskal-Wallis result
Problems in implementation IBS
Lack of standardisation on door and window components
Lack on beam standardisation
Lack on column standardisation
Problems on labelling component due to lack of standardisation
5.0
Chi-square
5.659
7.979
9.123
6.904
p
0.059
0.019
0.010
0.032
Suggestion for Strategies & Implementation IBS
Suggestions for strategies and implementation of IBS in questionnaire survey
form were about education, integrated working system, flexible financial
package, and improving open building system. The responses have been
analysed using average index method and surprisingly, almost all variables fell
between 4.5 and 3.50 which indicated that all of them were important strategies
which were demonstrated in table 6.
In general, all respondents strongly agreed that by offering more incentive for
users of standardised drawings in catalogue could improved the effectiveness of
IBS implementation. On the other hand, they ranked reducing IBS score as
moderate important and other strategies as important. This was good to know
that in overall, reducing IBS score strategy was least preferred strategy to
improve IBS implementation. It means that, even with various problems faced in
implementing IBS, practitioners still agreed to maintain the requirement of 70%
IBS components for each project.
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231
Table 6: Strategies to improve IBS implementation
Strategies
1.
Offer more incentive for users of standardized drawings
referred to catalogue provided by CIDB
2. Offer flexible financing and tax reduction to manufacturer
and constructor
3. Work closely with manufacturer to ensure manufacturer’s
capabilities
4. Make continual professional development programs for
designers, easily reach
5. Offer flexible financing package to whoever wants to be
IBS suppliers
6. Work closely with manufacturer to avoid mistakes in
production stage
7. Work closely with consultant to avoid redesign work
8. More awareness and education programs for practitioner
9. Formal education on business process
The average index gained can be explained as;
1:Most less important
1.000 ≤ Average Index < 1.500
2:Less important
1.500 ≤ Average Index < 2.500
3:Moderate important
2.500 ≤ Average Index < 3.500
4:Important
3.500 ≤ Average Index < 4.500
5:Most important
4.500 ≤ Average Index ≤ 5.000
Average
index
4.148
Indicator
Important
3.963
Important
3.963
Important
3.963
Important
3.926
Important
3.926
Important
3.926
3.926
3.926
Important
Important
Important
Most of the companies fairly agreed that site visit was an important strategy to
improve IBS implementation and also agreed that inspection and the evaluation
of service should be conducted by government to avoid unscrupulous parties
taking advantage of their client.
Contractors needed more to do proper planning and installation to reduce IBS
construction cost and manufacturer to register their available components at
CIDB. By dividing companies by company sizes, small companies stressed on
inspection of installation work on the spot to find out mistake earlier and
medium companies preferred the manufacturer to register their available
components at CIDB. Finally, big companies had more suggestion on this part
which being listed below:
-
Provide a proper assessment & verification scheme for IBS products,
manufacturers, contractors, and workers;
Offer incentive for the users of IBS catalogue;
Manufacturers to promote their product wisely to produce enough
distributed suppliers for their products.
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232
Moreover, respondent with lower IBS experiences prefer to reduce IBS score
target (currently 70%) till the practitioner fully ready.
For more perceive, suggestions had moulded by Personal Experience and
Experience on IBS. Thus by using Mann-Whiteny U nonparametric test some of
p and z showed significant differences attained from responds as indicated in
table 7.
Table 7:Mann-Whitenyresults for strategies questions
Area of Strategies Questions
Personal Experience
arranging site visit to IBS construction site for student
Experience on IBS
offering flexible financing and tax reduction to manufacturers and
constructor
offering flexible financing and tax reduction to whoever want to be IBS
suppliers
p
z
0.017
2.391
0.005
2.822
0.009
2.597
By challenging Personal Experience, high experienced respondents dedicated
their stress on the importance of arranging site visit to IBS construction site for
student which was depicted in figure 7.
Figure 5: Importance of site visit for engineering student vs. experience effect
Malaysian Journal of Civil Engineering 21(2) : 219-234 (2009)
233
Furthermore, by Mann-Whiteny results, respondents with more experiences in
IBS suggested offering flexible financing and tax reduction to manufacturers and
constructor and whoever wanted to be IBS suppliers. University or any high
education body whom produced young engineers for construction sector should
provided a syllabus on IBS which covered technical, business process, and all
miscellaneous things which needed while implementing IBS. In addition, the
practitioners themselves needed to give full support to improve the
implementation of IBS.
Registering IBS products to CIDB could solve many problems such as
standardisation problems and extra cost due to conversion of conventional design
into IBS design. It would be conducted to consultants to obtain direct design
building by referring to published catalogue and if all manufacturers registered
their available IBS components, the designers could make choice while
designing project.
6.0
Conclusion
The awareness and acceptance for current IBS implementation did not cover the
whole elements of IBS implementation process and not all practitioners could
accept it implementation especially company and personnel with less
experiences in handling IBS project. The study has shown there was not satisfied
level of understanding for Malaysian industry members. Also lack of
standardization even existed as a problem in main components. Stronger
strategies targeted the method of engineering education and registration of IBS
design and collaboration between all parts of industry and developing applied
code, also offering flexible financing and tax reduction. Applying of these
strategies would improve implementation of IBS in Malaysian industry.
Acknowledgement
Two anonymous reviewers are thanked for their helpful and constructive
criticism.
Malaysian Journal of Civil Engineering 21(2) : 219-234 (2009)
234
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